NMTOP - New Mexico Department of Information Technology

New Mexico
Treasury Offset Program (NMTOP)
Presented to Project Certification Committee
New Mexico Department of Workforce Solutions
Sue Anne Athens, CIO
October 23, 2013
Agenda
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Project Purpose
Business Objectives
Technical Objectives
Budget
Schedule
Scope
Lessons Learned Incorporated into this project
Questions
Current Status
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Initiation, Planning & Implementation
Certification Request for Implementation Phase
Completed security safeguard review of design and planning
Design 80% complete – database, NM TOP initial design, interface
specifications, updates to UIA, associated correspondence
Testing completed with Treasury
UIA letter/correspondence sent in October
Unit testing in progress through November
End to end testing/training schedule for December
Purpose
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The Treasury Offset Program (TOP) is a government-wide debt matching and
payment offset system developed by the U.S. Department of the
Treasury/Financial Management Services (DOT/FMS).
TOP works by matching a data base of delinquent debts owed to various
government agencies against payments made by the government. When a
delinquent claimant record is matched to a payment being issued, the payment
is intercepted and offset by all or part of the debt.
New Mexico Department of Workforce Solutions (NMDWS) is now expanding
the TOP system with the New Mexico Treasury Offset Program (NMTOP)
application, to include all unemployment insurance overpayment due to fraud
or misreported/unreported earnings.
These debts will be cross matched against an individual’s Federal income tax
return and any overpayment owed to the NMDWS will be deducted from the
individual’s tax refund and applied to the debt.
Business Objectives
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NMDWS will significantly improve its collection rate for both fraud and
non-fraud overpayments as well as for underpaid tax assessments
including associated penalty and interest owed.
NMDWS currently collections $3,401,580 annually as a result of its
collections process.
It is anticipated that collection will improved by 5% in the first year of
operation and increase 3% annually in the subsequent 3 years.
Technical Objectives
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Build systems architecture to ensure compliance with IRS safeguards
Integrate data exchange with Unemployment Insurance Application.
Budget – Planning Phase
Budget Category
Cost
CONTRACTOR MONTHLY
$250,000
IT EQUIPMENT
$125,000
TEMPORARY STAFF
$19,864
MISCELLANEOUS
$5,000
TOTAL
$399,864
Note: Federal Funding Received via Supplemental Budget Request
Schedule
Schedule
NM TOP Timeline
3/4/2013 - 8/2/2013
Requirements/Design
10/15/2012 - 11/9/2012
Planning/Preparation
1/1/2013
10/14/2012
11/12/2012 - 2/28/2013
Prepare SPR Report
for IRS
4/1/2013
7/1/2013
8/5/2013 - 12/13/2013
Development & Testing
10/1/2013
12/16/2013 - 1/20/2014
Implementation
1/1/2014
1/20/2014
Scope
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The NMTOP Application: This is a new, segregated and secured application
that will be designed and developed to support the management and
transfer of TOP data.
The purpose of this application is to have a secure database, application and
reporting capabilities that interact with the Department of Treasury’s TOP
system and the current, Unemployment Insurance Application (UIA).
NMTOP will have all of the required security as defined in the Safeguards
Procedures Report (SPR) and will reside on a secure standalone server.
Incorporated “Lessons Learned”
in Other States
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Consulted with other States who have implemented the project
Reviewed base code, held meetings, became familiar with timeline
Result:
– Designed NM TOP outside the UIA in firewalled zone to ensure IRS
requirements did not float down to the UIA
– Ramped up testing with Department of Treasury earlier in the process
Questions
Questions from the Committee?